Coinbase Global (COIN) benefits from its strong brand and early-mover advantage in the cryptocurrency market. Growing institutional adoption and diversification of revenue streams beyond retail trading are likely to aid the company’s growth. To gain exposure to COIN stock, investors may consider investing in these two ETFs: Global X Blockchain ETF (BKCH) and First Trust SkyBridge Crypto Industry and Digital Economy ETF (CRPT).
Let’s take a deeper look at these two ETFs.
Global X Blockchain ETF
The BKCH ETF invests in companies that gain from the adoption of blockchain technology. It includes firms involved in digital asset mining, blockchain payments, software, and hardware. The ETF tracks the Solactive Blockchain Index and offers exposure to the wider blockchain ecosystem beyond cryptocurrencies. COIN stock constitutes 13.81% of the holdings in the ETF.
Overall, the ETF has $139.25 million in assets under management (AUM) and an expense ratio of 0.5%. Over the past three months, the BKCH ETF has declined 31.3%.
On TipRanks, BKCH has a Strong Buy consensus rating based on 20 Buys and five Holds assigned in the last three months. At $84.13, the average BKCH ETF price target implies 126.22% upside potential.
First Trust SkyBridge Crypto Industry and Digital Economy ETF
The CRPT ETF focuses on companies involved in the cryptocurrency and digital economy sectors. It invests in businesses engaged in blockchain technology and digital asset mining. The ETF is actively managed and aims to capture growth opportunities in the evolving digital economy. Importantly, Coinbase stock accounts for 15.48% of CRPT’s total holdings.
Overall, the ETF has $78.59 million in AUM. Additionally, it has an expense ratio of 0.85%. The CRPT ETF has declined 22.1% in the past three months.
Turning to Wall Street, the ETF has a Moderate Buy consensus rating. Of the 22 stocks held, 18 have Buys, three have a Hold rating, and one has a Sell. At $24.74, the average CRPT ETF price target implies a 79.01% upside potential.
Concluding Thoughts
ETFs provide indirect exposure to COIN, reducing risk compared to investing directly in the stock. Furthermore, ETFs are a liquid and transparent way to participate in the market. Investors seeking ETF recommendations might consider CPRT and BKCH, as these ETFs offer exposure to Coinbase stock.